Majority of Australian fathers failing to claim cash from the government

Two out of three new Dads have failed to claim their baby pay entitlement under the federal government's paid parental leave scheme, according to reports.

Fathers of newborns are entitled to up to two weeks of the minimum wage if they take unpaid leave from work to care for their child.

Social Services Minister Scott Morrison will announce the details today, with evidence women are staying at home with their babies longer, and often breastfeeding for longer as a result of the government scheme, News Corp reports.

The report also found only 36 percent of new fathers are cashing in, which requires a work test and to earn less than $150,000 annually.

A little-known provision also allows employers to top up the minimum wage baby pay to the father's normal earnings.

The scheme is most likely to be taken up by self-employed fathers and those on a casual wage, making up half of those claiming the payment.

"The evaluation shows that PPL is delivering benefits for families and it is helping women get back to work after they've had children,'' Mr Morrison said.

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"Working mothers are eligible to receive 18 weeks at the rate of the ­national minimum wage, which is currently about $641 a week before tax.

"It also identified benefits for employers, with working mothers who receive parental leave pay much more likely to return to their same employer than they did before the introduction of a PPL scheme.''

The new report also found 500,000 women have benefited from the scheme, with stress levels and mental health of new mothers improved.